Developer loses VCAT road widening compensation case

Plans for a primary school at Kalkallo have been knocked back by VCAT.

A developer has unsuccessfully tried to claim compensation from Wyndham council for land required for road widening.

Tarneit Projects Pty Ltd, which received planning approval for a 306 lot subdivision for a parcel of land along Hogans Road in Tarneit, took the council to the Victorian Civil and Administrative Tribunal recently seeking the removal of a condition within the permit that states land required for the widening of Hogans Road must be transferred to the council at no cost.

The developer deemed the condition “unfair”, likening the move to compulsory acquisition without due compensation.

However, VCAT member Karina Shpigel upheld the existing permit and refused to remove the condition.

Wyndham councillor Josh Gilligan said the decision had set an important precedent – that developers must pay their fair share for infrastructure contributing to their estate development.

“It is disappointing that nearly $22,000 of ratepayers’ money was needed to be spent upholding this important precedent for our city,” he said.

“It is overwhelmingly clear from our latest community survey residents want to see council working towards planning and delivering local roads alongside state and federal governments to keep pace with our growing population.”